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The Company SWOT Analysis Of Adidas

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COMPANY BACKGROUND Adidas is a large and renowned company around the world. It ranked second after the Nike Company. The company focuses on the manufacture of sporting goods such as shoes and clothing, and others. Today, Adidas is a company that has a very large network of sales of sports clothes. There are many retail stores, manufacturing companies located in China, Indonesia, Thailand and Germany. Every year the company will earn huge profits. All data show that the company is reliable in the world. It should be highlighted that the history of the Adidas Company is rather unusual. When it was established, nobody can imagine Adidas Company can reach that stage. Establishment began from a small sewing shoes by Adolf and Rudolf Dasler, and it was called a shoe factory. History is a very famous brand shoes was started in 1920 by Adi (Adolf) Dassler in his mother's laundry. At that time, Adi Dassler made a small-scale project to create a sports shoe. Because of the high quality of shoes produced, eventually small …show more content…

Backward integration: This is a smart strategy if followed by Adidas Adidas because it helps companies to get their patents and also integrate them with the R & D operations team to work in an open system. Threats in the SWOT analysis of Adidas 1. Competition: Although Adidas is a global brand, but it still faces stiff competition from other brands, mainly Nike, which is the number one brand and Adidas is ranked second only to Nike in this premium segment. In addition, there is also competition from local players, substitutes and market penetration. 2. Supplier Dominancy: By the due to the majority of its production from external sources, the supplier has bargaining power over the company. 3. Government Regulations: Import regulations, duties and tariffs plays an important role in determining the success of the company and even 35% of the products produced in China and 93% of the production takes place in Asia. TARGET

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